Cyprus Population: 1,155,403

A former British colony, Cyprus became independent in 1960 following years of resistance to British rule. Tensions between the Greek Cypriot majority and Turkish Cypriot minority came to a head in December 1963, when violence broke out in the capital of Nicosia. Despite the deployment of UN peacekeepers in 1964, sporadic intercommunal violence continued forcing most Turkish Cypriots into enclaves throughout the island. In 1974, a Greek Government-sponsored attempt to seize control of Cyprus was met by military intervention from Turkey, which soon controlled more than a third of the island. In 1983, the Turkish Cypriot-occupied area declared itself the "Turkish Republic of Northern Cyprus" ("TRNC"), but it is recognized only by Turkey. The election of a new Cypriot president in 2008 served as the impetus for the UN to encourage both the Greek Cypriot and Turkish Cypriot communities to reopen unification negotiations. In September 2008, the leaders of the two communities began discussions under UN auspices aimed at reuniting the divided island. The talks are ongoing. The entire island entered the EU on 1 May 2004, although the EU acquis - the body of common rights and obligations - applies only to the areas under the internationally recognized government, and is suspended in the areas administered by Turkish Cypriots. However, individual Turkish Cypriots able to document their eligibility for Republic of Cyprus citizenship legally enjoy the same rights accorded to other citizens of European Union states.

conventional long form: Republic of Cyprus conventional short form: Cyprus local long form: Kypriaki Dimokratia/Kibris Cumhuriyeti local short form: Kypros/Kibris note: the Turkish Cypriot community, which administers the northern part of the island, refers to itself as the "Turkish Republic of Northern Cyprus" or "TRNC" (Kuzey Kibris Turk Cumhuriyeti or KKTC)

Government type:

republic note: a separation of the two ethnic communities inhabiting the island began following the outbreak of communal strife in 1963; this separation was further solidified after the Turkish intervention in July 1974, following a Greek military-junta-supported coup attempt that gave the Turkish Cypriots de facto control in the north; Greek Cypriots control the only internationally recognized government; on 15 November 1983 Turkish Cypriot "President" Rauf DENKTAS declared independence and the formation of a "Turkish Republic of Northern Cyprus" ("TRNC"), which is recognized only by Turkey

6 districts; Ammochostos (Famagusta; all but a small part controlled by Turkish Cyprus), Keryneia (Kyrenia; the only district completely controlled by Turkish Cyprus), Larnaka (Larnaca; a small part controlled by Turkish Cyprus), Lemesos (Limassol), Lefkosia (Nicosia; a small part controlled by Turkish Cyprus), Pafos (Paphos); note - the five districts of Turkish Cyprus are Gazimagusa (Famagusta), Girne (Kyrenia), Guzelyurt (Morphou), Lefkosia (Nicosia) and Iskele (Trikomo)

Independence:

16 August 1960 (from the UK); note - Turkish Cypriots proclaimed self-rule on 13 February 1975 and independence in 1983, but these proclamations are only recognized by Turkey

16 August 1960 note: from December 1963, the Turkish Cypriots no longer participated in the government; negotiations to create the basis for a new or revised constitution to govern the island and for better relations between Greek and Turkish Cypriots have been held intermittently since the mid-1960s; in 1975, following the 1974 Turkish intervention, Turkish Cypriots created their own constitution and governing bodies within the "Turkish Federated State of Cyprus," which they then called the "Turkish Republic of Northern Cyprus (TRNC)" when the Turkish Cypriots declared independence in 1983; a new constitution for the "TRNC" passed by referendum on 5 May 1985, although the "TRNC" remains unrecognized by any country other than Turkey

Legal system:

mixed legal system of English common law and civil law with Greek Orthodox religious law influence

Suffrage:

18 years of age; universal

Executive branch:

chief of state: President Nicos ANASTASIADES (since 28 February 2013); note - the president is both the chief of state and head of government; post of vice president is currently vacant; under the 1960 constitution, the post is reserved for a Turkish Cypriot

head of government: President Nicos ANASTASIADES (since 28 February 2013)

cabinet: Council of Ministers appointed jointly by the president and vice president (For more information visit the World Leaders website )

elections: president elected by popular vote for a five-year term; election last held on 17 and 24 February 2013 (next to be held in February 2018)

unicameral - area under government control: House of Representatives or Vouli Antiprosopon (80 seats; 56 assigned to the Greek Cypriots, 24 to Turkish Cypriots; note - only those assigned to Greek Cypriots are filled; members are elected by popular vote to serve five-year terms); area administered by Turkish Cypriots: Assembly of the Republic or Cumhuriyet Meclisi (50 seats; members elected by popular vote to serve five-year terms)

elections: area under government control: last held on 22 May 2011 (next to be held in May 2016); area administered by Turkish Cypriots: last held on 19 April 2009 (next to be held on 28 July 2013)

highest court(s): Supreme Court of Cyprus (consists of 13 judges including the court president); note - the highest court in the Turkish Republic of Northern Cyprus (TRNC) is the Supreme Court (consists of 8 judges including the court president) judge selection and term of office: Republic of Cyprus Supreme Court judges appointed by the president of the republic upon the recommendation of the Supreme Court judges; judges tenure NA; TRNC Supreme Court judges appointed by the Supreme Council of Judicature, a 12-member body of judges, the attorney general, appointees - one each by the president of the TRNC and by the Legislative Assembly, and a member elected by the Bar Association; judge tenure NA

area under government control: Democratic Party or DIKO [Marios KAROYIAN (Garoyian)] Democratic Rally or DISY [Nicos ANASTASIADES] European Party or EURO.KO [Demetris SYLLOURIS] Fighting Democratic Movement or ADIK [Dinos MIKHAILIDES]; note - now part of Democratic Party or DIKO Green Party of Cyprus [George PERDIKIS] Movement for Social Democrats or EDEK [Yiannakis OMIROU] Progressive Party of the Working People or AKEL (Communist Party) [Andros KYPRIANOU] United Democrats or EDI [Praxoula ANTONIADOU] area administered by Turkish Cypriots: Communal Democracy Party or TDP [Mehmet CAKICI] Cyprus Socialist Party or KSP [Yusuf ALKIM] Democratic Party or DP [Serdar DENKTAS] Freedom and Reform Party or ORP [Turgay AVCI] National Unity Party or UBP [Irsen KUCUK] Nationalist Justice Party or MAP [Ata TEPE] New Cyprus Party or YKP [Murat KANATLI] Politics for the People Party or HIS [Ahmet YONLUER]; note - joined the National Unity Party in 2010 Republican Turkish Party or CTP [Ozkam YORGANCIOGLU] United Cyprus Party or BKP [Izzet IZCAN]

The area of the Republic of Cyprus under government control has a market economy dominated by the service sector, which accounts for four-fifths of GDP. Tourism, financial services, and real estate are the most important sectors. Erratic growth rates over the past decade reflect the economy's reliance on tourism, the profitability of which can fluctuate with political instability in the region and economic conditions in Western Europe. Nevertheless, the economy in the area under government control has grown at a rate well above the EU average since 2000. Cyprus joined the European Exchange Rate Mechanism (ERM2) in May 2005 and adopted the euro as its national currency on 1 January 2008. An aggressive austerity program in the preceding years, aimed at paving the way for the euro, helped turn a soaring fiscal deficit (6.3% in 2003) into a surplus of 1.2% in 2008, and reduced inflation to 4.7%. This prosperity came under pressure in 2009, as construction and tourism slowed in the face of reduced foreign demand triggered by the ongoing global financial crisis. Although Cyprus lagged behind its EU peers in showing signs of stress from the global crisis, the economy tipped into recession in 2009, contracting by 1.7%, and has been slow to bounce back since, posting anemic growth in 2010-11 before contracting again by 2.3% in 2012. Serious problems surfaced in the Cypriot financial sector in early 2011 as the Greek fiscal crisis and euro zone debt crisis deepened. Cyprus's borrowing costs have risen steadily because of its exposure to Greek debt. Two of Cyprus's biggest banks are among the largest holders of Greek bonds in Europe and have a substantial presence in Greece through bank branches and subsidiaries. Cyprus experienced numerous downgrades of its credit rating in 2012 and has been cut off from international money markets. The Cypriot economy contracted in 2012 following the writedown of Greek bonds. A liquidity squeeze is choking the financial sector and the real economy as many global investors are uncertain the Cypriot economy can weather the EU crisis. The budget deficit rose to 7.4% of GDP in 2011, a violation of the EU's budget deficit criteria - no more than 3% of GDP. In response to the country's deteriorating finances and serious risk of contagion from the Greek debt crisis, Nicosia implemented measures to cut the cost of the state payroll, curb tax evasion, and revamp social benefits, and trimmed the deficit to 4.2% of GDP in 2012. In July, Nicosia became the fifth euro zone government to request an economic bailout program from the European Commission, the European Central Bank, and the International Monetary Fund - known collectively as the "Troika". Negotiations over the final details of the plan are ongoing.

note: data cover general government debt, and includes debt instruments issued (or owned) by government entities other than the treasury; the data include treasury debt held by foreign entities; the data exclude debt issued by subnational entities, as well as intra-governmental debt; intra-governmental debt consists of treasury borrowings from surpluses in the social funds, such as for retirement, medical care, and unemployment

mixture of state and privately run TV and radio services; the public broadcaster operates 2 TV channels and 4 radio stations; 6 private TV broadcasters, satellite and cable TV services including telecasts from Greece and Turkey, and a number of private radio stations are available; in areas administered by Turkish Cypriots, there are 2 public TV stations, 4 public radio stations, and privately owned TV and radio broadcast stations (2007)

Greek Cypriot National Guard (GCNG): 18-50 years of age for compulsory military service for all Greek Cypriot males; 17 years of age for voluntary service; length of service obligation is 25 months; women may volunteer for a 3-year term (2013)

hostilities in 1974 divided the island into two de facto autonomous entities, the internationally recognized Cypriot Government and a Turkish-Cypriot community (north Cyprus); the 1,000-strong UN Peacekeeping Force in Cyprus (UNFICYP) has served in Cyprus since 1964 and maintains the buffer zone between north and south; on 1 May 2004, Cyprus entered the European Union still divided, with the EU's body of legislation and standards (acquis communitaire) suspended in the north; Turkey protests Cypriot Government creating hydrocarbon blocks and maritime boundary with Lebanon in March 2007

minor transit point for heroin and hashish via air routes and container traffic to Europe, especially from Lebanon and Turkey; some cocaine transits as well; despite a strengthening of anti-money-laundering legislation, remains vulnerable to money laundering; reporting of suspicious transactions in offshore sector remains weak (2008)